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Manufacturing

Dismissal for just cause referred to as the "capital punishment" of employment law

Jurisdiction: - Ontario
Sector: - Manufacturing

In this passage in Plester v. Polyone Canada Inc., 2011 ONSC 6068, the court stated that just cause dismissals have been referred to as the "capital punishment" of Canadian employment law:

[32]           The law of employment in Canada requires employers to provide adequate notice before dismissing an employee. Where the employer wishes to dismiss n employee summarily, on the basis of misconduct, the onus is on the employer to show just cause.  read more »

ONCA allows appeal, grants declaration that restrictive covenant is unreasonable and therefore unenforceable

Jurisdiction: - Ontario - United States
Sector: - Manufacturing

In Mason v. Chem-Trend Limited Partnership, 2011 ONCA 344, the Ontario Court of appeal overturned the application judge's decision and ruled that the following restrictive covenant was unreasonable and therefore unenforceable against a 17 year technical salesperson whose employment was terminated for just cause:

I agree that if my employment is terminated for any reason by me or by the Company, I will not, for a period of one year following the termination, directly or indirectly, for my own account or as an employee or agent of any business entity, engage in any business or activity in competition with the Company by providing services or products to, or soliciting business from, any business entity which was a customer of the Company during the period in which I was an employee of the Company, or take any action that will cause the termination of the business relationship between the Company and any customer, or solicit for employment any person employed by the Company.

Employer did not have just cause to dismiss VP Finance it alleged was insolent, insubordinate and lacked judgment

Jurisdiction: - British Columbia
Sector: - Manufacturing

In Kokilev v. Picquic Tool Company Inc., 2010 BCSC 1412, the BC Supreme Court ruled that an employer did not have just cause to dismiss its VP Finance on the basis that he was insolent, insubordinate and lacked judgment.

At the time his employment was terminated, the VP Finance had almost eight years of service, earned $100,000 annually and was approximately 41 years old. The court awarded him a 10 month notice period.

(Postscript: James D. Kondopulos, a lawyer at Roper Greyell in Vancouver, has written a summary of the case that can be found here: "Dealing with the Insolent, Insubordinate or Disobedient Employee". The article first appeared in the B.C. Human Resources Management Association's HRVoice Magazine (March 2011)).